Monetary economist known for NGDP-level targeting. Wrote TheMoneyIllusion until it closed in 2024 and now writes The Pursuit of Happiness.

• Our reading nowkorrents.com

  The Federal Reserve's average inflation targeting framework is a real commitment to hold inflation near a 2% average across the 2020s, so an overshoot now has to be offset by undershoots later.

  inflationinterest rates

  Their words, before

  The Fed needs PCE inflation to average 1.96% for the remainder of the decade in order to hit their AIT target.

  Their words now

  I assumed they intended inflation to average roughly 2% during the 2020s.

Writer and novelist. Publishes essays and book notes at nateliason.com; author of the novel Husk and of Crypto Confidential.

• Dislikedrcmnd.app

  End the Fed

  Their words

  It's a book by a politician, about what you expect. Some interesting tid bits on the history of the Fed but you could get it from Wikipedia.

  nateliason.com

Economist; former chief economist of the International Monetary Fund.

From one piece Fiscal Policy under Low Interest Rates 5 beliefs, in the piece's order there

• Our readingkorrents.com

  A persistently low safe interest rate signals that capital is not very productive at the margin, an underlying economic problem rather than a policy variable.

  interest rates

  Their words

  A low r is actually a signal that something is wrong with the economy: In effect, if we think of the safe rate as the risk-adjusted rate of return on capital, the low safe rate is sending the signal that, risk adjusted, the return on capital is low.

  Fiscal Policy under Low Interest Ratesdirect.mit.edu

• Our readingkorrents.com

  Canceling government bonds held by a central bank creates no fiscal space, because the reduction in government interest payments is exactly offset by an equal reduction in the profits the central bank remits to the government.

  interest ratesgovernment

  Their words

  The proposition is that the cancellation of the bonds held by the central bank would decrease the amount of interest payments and thus the debt service of governments. And indeed, it would. But it would have another effect—namely, to decrease the revenues of the central bank and thus the profits that the central bank turns in to the government. This second effect would be exactly of the same size as the first, and the net effect on the government budget constraint would be equal to zero.

  Fiscal Policy under Low Interest Ratesdirect.mit.edu

• Our readingkorrents.com

  A longer average debt maturity protects a government from temporary interest-rate spikes and gives it more time to adjust to permanent rate increases.

  interest ratesgovernment

  Their words

  A longer maturity of debt protects the government from a temporary increase in the short run interest rate, and it gives it more time to adjust to a permanent increase.

  Fiscal Policy under Low Interest Ratesdirect.mit.edu

Economist; Ronald A. Kurtz Professor of Entrepreneurship at MIT Sloan, former chief economist of the International Monetary Fund, and co-author of 13 Bankers and Power and Progress.

• Lovedrcmnd.app

  A History of Interest Rates

  Their words

  This is one of my favourite type of books, which are just about data.

  fivebooks.com

Monetary economist known for NGDP-level targeting. Wrote TheMoneyIllusion until it closed in 2024 and now writes The Pursuit of Happiness.

• Our reading nowkorrents.com

  Aggressive quantitative easing should raise long-term interest rates, because effective monetary stimulus raises them.

  quantitative easinginterest rates

  Their words, before

  Any effective monetary stimulus would be expected to raise long term rates.

  Their words now

  I predicted that aggressive QE would raise long term interest rates, a view which seemed to be refuted by the response on T-bond yields to the March 2009 Fed QE announcement.